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In a previous Frank, Rimerman + Co. LLP article, dated April 28, 2010, we outlined how the due diligence process can give a buyer the time and—for an unprepared seller—the opportunity to renegotiate key deal terms such as purchase price, timing of payments, indemnification, representations and warranties, and others.

In May, the House of Representatives passed legislation (Section 413 of H.R. 4213) that would subject non-wage earnings of certain S corporation shareholders to the self-employment tax for the first time.